Ineos considering Seal Sands plant closure

Chemical plant Ineos said on Thursday that it could close its acrylonitrile plant at Seal Sands, Teesside.

Ineos, which employs 224 people at the site, said not all jobs will be at risk due to the continuation of other activities at Seal Sands.

The company said that despite its "best efforts", there is nothing more it can do to ensure that operations are safe and economically viable. It would require another €200m just to meet Ineos standards and environmental regulations, it said, adding that it plans to consult on any viable alternatives to closure.

Paul Overment, chief executive officer of Ineos Nitriles, said: "After considering many options, we feel that we must now consult with employees on the potential closure of the plant. We do so with a heavy heart but there is no escaping the fact that decades of under investment on the site have led us to this point.

"Manufacturing assets need constant renewal if they are to survive. The last 10 years have proven that it is almost impossible to play catch-up and the lesson for us and other UK manufacturers is that constant reinvestment is vital for long term prosperity."

Ineos has invested close to €200m in the site over the last 10 years in an attempt to counter decades of "significant" under investment.

Union Unite called for urgent talks over the possible closure of the plant, which it said was "a serious blow" to the manufacturing economy of the north east.

Regional officer Tan Rashid said: "It is painful news for the workforce and their families, and Unite is calling for urgent talks with Ineos management to explore all options to keep the plant operating as a going concern.

"The region can ill-afford to lose these highly skilled jobs - and we will be giving maximum support to our members in the days and weeks ahead during this stressful time.

"We are meeting with our reps this afternoon to chart the next steps forward during the consultation period."